Taking local authority to court

[dwents]

Hi Just wondering if anybody has ever taken a local authority to court over money?

We have lot's of companies who owe us money we have a strict payment if they don't pay we send letter and threaten court a simple money claim online normally sorts out a quick response and money paid quickly I have a account overdue for a police force anybody anybody ever taken the police to court for outstanding monies ??

 

which also brings me onto people like councils and huge multi national companies does this aproach work ??

[Sully]

My photographer wife had an image of hers used by someone (part of a larger media group) without permission, after some fruitless emails we invoiced the head office of the parent and they (eventually) paid up. With some larger companies it might not be down to unwillingness to pay so might just take sending letters in such a way to get the relevant boot up the relevant backside before court action.

 

David.

[paulears]

Sadly, most large authorities already have CCJs and nobody gives a damn because few people run a credit check on them to even notice it, and it has no impact on their ability to get credit.

 

The other thing is that is important to note is that when you send the warning letters, the staff pay no attention to to them, in fact I have a suspicion that all it does it get your invoice pulled from the stack to see what it's about, then it gets put back on the bottom of the pile, losing it's place. Big firms receive invoices and send them to the budget holders for authorisation, eventually getting them back and then they work through the system, at the rate the office people can process. I've tried for some organisations I do work for, to short circuit this by sending the invoice to the budget holder direct, marked private and confidential - however, incoming mail is opened centrally - no private communications allowed!

 

I'm about to do an on-line summons, but really it's hardly worth it - it's a college who have a budget shortfall in the millions, so my few hundred will not make a difference! I'm still going to do it though!

[David Lee]

Never tried it with the Police but I cannot see why a local authority should be treated differently to any other debtor. If they have agreed to your terms and conditions and have no complaints/ queries of the invoice outstanding then they are overdue and you should take normal action.

 

My old company were more relaxed with councils on the basis that a) they provided a lot of our work and b) they may be late but they were guaranteed payers and very unlikely to go bust on you or do a runner.

 

Quote from MCOL

 

4A claim may be started using Money Claim Online if it meets all the following conditions –

(1)

the only remedy claimed is a specified amount of money –

(a)

less than £100,000 (excluding any interest or costs claimed); and

(b)

in sterling;

(2)

the procedure under Part 7 is used;

(3)

the claimant is not –

(a)

a child or protected party; or

(b)

funded by the Legal Services Commission;

(4)

the claim is against –

(a)

a single defendant; or

(b)

two defendants, if the claim is for a single amount against each of them;

(5)

the defendant is not –

(a)

the Crown; or

(b)

a person known to be a child or protected party; and

(6)

the defendant’s address for service is within England and Wales.

(‘Protected party’ has the same meaning as in rule 21.1(2).)

 

Source

 

No mention of councils/ local authorities being excempt. I am fairly sure they do not fall under the title of "The Crown".

[madorangepanda]

Contact your local newspaper.

[paulears]

You really think the paper would be interested. Local papers are not the place for aggressive investigative journalism - now if you were going to give the police an award for buying some new green cars, or bikes, or helping the brownies - you'd be on!

 

My own town had the chief exec of the council resign mysteriously and nobody could fin out why. The councillors were warned to make no public statements or be prosecuted. I know at least 5 people who contacted the local weekly with the story, and nothing! Local papers never rock the boat.

[Brian]

Aren't LAs meant to pay within a fixed, quote short, number of days?

 

 

 

[EDIT]

Thought so, this seems to be fairly typical of LAs policy...

 

 

The city council pays all invoices within 30 days of receipt. In some cases Salford City Council has agreed faster payment terms with suppliers. These may be seven, fourteen or twenty-one days.

 

The payments start from the later of two dates: the date the invoice is received by the authority or the date that the goods or services are delivered.

 

Although we would like to pay every invoice within these timeframes, it may not always be possible.

[d_korman]

Hi Just wondering if anybody has ever taken a local authority to court over money?

We have lot's of companies who owe us money we have a strict payment if they don't pay we send letter and threaten court a simple money claim online normally sorts out a quick response and money paid quickly I have a account overdue for a police force anybody anybody ever taken the police to court for outstanding monies ??

 

which also brings me onto people like councils and huge multi national companies does this aproach work ??

 

For local authorities, I'd suggest raising the matter with the elected councillor for the ward in which you live - after all, they want your vote at the next election.

[dwents]

Thanks guys all makes sense

Just annoys me that they can fob you off

[Rob_Beech]

Many LA's do seem to be good at paying, around here they really try and sort it promptly, especially to help out other local businesses which is what it's all about.

 

However, I've known things go horribly wrong in the past, they should get away with nothing!

[cfmonk]

Take them to court. Get the judgement. Give them seven days to pay. Tell them you will get a garnishee order against the account into which they collect council tax. They'll pay pretty damn fast.

 

FYI: Garnishee or Third Party orders allow you to effectively freeze their bank account and take the money from it. Useful little things.

[p.k.roberts]

On a slight tangent, don't forget to use the full powers of the 'Late Payment of Commercial Debts Act' which entitles you, among other things, to add interest at a rate of 8% above base rate to the outstanding late amount.

Details at - http://payontime.co.uk/

[slipstream]

Chances are it's lying on someones desk. Call and ask for account payable, ask if they have the invoice and when they admit they dont send a copy direct to the ledger dept

 

Sam

[kerry davies]

I don't have these problems as, for the LA I am working for today, I am an approved contractor and yes, they are supposed to pay swiftly but some fools voted in a new government just when the old one was trying to enforce that.

 

Cautionary tale; a barrister friend works on child protection for a major LA and is used to waiting anything from 9 months to three years for the cash. She doesn't bother with the legal approach as they simply ignore it and she only ends up paying more council tax to the same authority. She does add interest, however.

 

When payment was delayed a couple of months back I called accounts payable who told me that they were waiting for the thirty days mentioned on my invoice to pass and would have paid within a week had it not been on there. My Terms are now 14 days and they sent me a payment advice today for last weeks gig. I suggest talking reasonably to them and learning why it hasn't been paid before going legal.

 

I would be loth to take a third party debt order out on an LA or police force as Dean mentions, it isn't that straightforward, see;

http://www.hmcourts-service.gov.uk/courtfi.../ex325_1208.pdf

you need to get a judgement first then go through TPDO procedures. By which time the police force in question will undoubtedly have made themselves somewhat of a nuisance!!!

[cfmonk]

I would not suggest getting a TPDO as the first instance but it is a very good way of making any large organisation sit up and take notice if they have a judgement made against them and simply ignore it as some people suggest would be the case.

 

I would very much enjoy a police force trying to make a nuisance of themselves. The IPCC really do take pleasure in going after them in those situations.